Wall Street’s Christmas Present: An Actual IPO!
Investment bankers are pretty bored these days unless they've got deals to unwind. There's basically no M&A and zero IPOs. Last we heard, a lot were spending time "building client relationships" and doing a lot of stuff that doesn't pay squat. But alas, an IPO... FriendFinder Networks! Yep, AdultFriendFinder "The World's Largest Sex & Swinger Personals". Along with it you get Penthouse mag, some other online porn sites and even some third-rate social networks (they even have a Christian social network). Be forewarned, it doesn't look pretty.
MediaMemo's Peter Kafka has the details from the S-1:
The details: The money-losing company has $43 million in cash, and $420 million in short-term debt. Some of that debt is already in default and the company has breached loan covenants for some loans as well. Presumably the company can’t find anyone to lend it that much, so it’s hoping that the equity markets step up.
